Continuing with my thesis of wild goose chase in search of the non-existent holy grail of trading system, I've concluded MACD is way overrated. Look at the AAPL intraday 5 minute chart below.
Do we see MACD positive divergence? Surely we do. We got lower low in price, yet MACD is higher and crossing over to the upside. Not shown is the ADX reading of 15.48 -- not strong trending at all. STO also was just coming out of the oversold area. Yet, TraderFlorida posted that he's adding to his short on this bounce. Boy, he's been red hot on AAPL and continued to be. Let's see how the day panned out.
May be the MACD indicator, much like head & shoulder pattern, are simply overrated and too unreliable that it should be dropped from my charting?! Surely all indicators are not reliable all the time, but too many indicators can confuse us, causing missed entries and premature exits.